Cross-Channel Video Can Help Decrease Cost-Per-Reach Point for TV-Only Campaigns says Nielsen Study

Nielsen AmobeeCross-channel video advertising can decrease the cost per reach point of TV-only campaigns, according to a Nielsen study of TV data that was commissioned by Amobee, an ad tech company. The study looked at 14 television advertisers’ campaigns to see if they could build incremental reach by moving some of that spend to Amobee’s mobile, tablet, desktop and social media inventory (worth noting that the campaign didn’t look at impact or uplift in brand sentiment, and the Amobee media was run-of-network inventory).

However, in spite of the study’s slightly narrow focus, it’s still interesting from a cost-per-reach perspective. Nielsen evaluated TV schedule estimates for 14 advertisers for all of the major verticals and re-allocated varying percentages of TV budget across multiple digital channels using Amobee’s cross device technology. They ran over 100 campaign simulations, and say they discovered additional audience opportunities for advertisers to extend the reach of their TV investment through digital.

According to a statement about the findings:

· Potential to Decrease Cost-per-Reach Point: Amobee found that amongst large campaigns measured in the analysis ($5MM or larger, as measured by Nielsen Ad Intel), there may be an opportunity to decrease the overall campaign cost per reach point. The average decrease in the study was 5.5 percent and in one case Amobee generated efficiencies of 9.3 percent given Amobee’s current rates.
· Reaching viewers unexposed to TV campaigns: Amongst all 14 campaigns simulated, the average percent increase in overall reach was 4.0 percent; and in one campaign, Amobee saw a 10.3 percent overall increase in reach.
· Increased connection among millennial audiences: Amongst all 14 campaigns simulated, the average percent increase in reaching Age 18-34 was 8.8 percent; In one campaign Amobee achieved a 19.3 percent increase in reaching Age 18-34 and 29.0 percent for audiences between the ages of 18-24.

“Our goal with the study was to examine how it is possible to reach an engaged mobile and desktop audience at scale to fill in the gap from TV,” said Bryan Everett, SVP of Business Development and Publisher Solutions for Amobee. “When marketers invest in digital they reach cord-cutters, a growing audience, and extend their reach across multiple screens.”

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